Prime Minister Luís Montenegro will implement the fifth IRS reduction since he took office as leader of the Government. This reduction is planned for 2026 and represents another step in his tax relief policy.
The Executive will propose this measure to the Assembly of the Republic, following the usual legislative process for tax changes in Portugal. The proposal will be debated and voted on by the deputies.
The reduction in IRS rates will cover the first six income brackets. This scope means that taxpayers with lower and medium incomes will be the main beneficiaries of this tax cut.
This initiative is part of a broader strategy to reduce the tax burden that the Government has been implementing since the beginning of Montenegro's term, with the aim of stimulating economic growth and increasing the available income of Portuguese families.
